Kelowna housing prices continue to rise

Kelowna housing prices have increased since last year, says a Royal LePage survey.

According to the Royal LePage house price survey and market survey forecast, the aggregate home price in Kelowna grew by 5.4 per cent over last year to $623,706 in the second quarter of 2018, a Royal LePage news release said.

When broken out by housing type, the aggregate price of a two-storey home and condominium rose 3.9 and 3.7 per cent year-over-year to $701,576 and $386 927, respectively. Meanwhile, the aggregate price of a bungalow leapt 8.3 per cent year-over-year to $641,886.

During the quarter, sales activity fell as prospective purchasers came to grips with new regulations aimed at cooling the market. Yet, this did not deter many millennials and Vancouver residents, who continue to venture into the region to take advantage of the city’s strong economy and affordable home prices, the release said.

“While the speculation tax and new OSFI stress test have hurt many consumers’ purchasing power, fundamentals remain strong in Kelowna’s real estate market,” said Francis Braam, managing broker and owner, Royal LePage Kelowna. “Though it is true that sales in the region are down by almost 20 per cent on an annual basis, they are based on record years. The market continues to thrive, attracting many prospective homeowners into the region with the promise of significant value.”

Over the next three months, sales activity and home values in Kelowna is expected to remain relatively unchanged, the release said.

The Royal LePage National House Price Composite, compiled from proprietary property data in 63 of the nation’s largest real estate markets, showed that the price of a home in Canada will increase 1.9 per cent over the next three months.